California voters overwhelmingly rejected expansion of the state's growing gaming industry on Tuesday by rejecting two ballot initiatives.
Proposition 70, sponsored by the Agua Caliente Band of Cahuilla Indians, failed with a whopping 76 percent of voters saying no. Only 24 agreed that tribes should be allowed to operate more than 2,000 slot machines while sharing 8.84 percent of net revenues. Proposition 68, sponsored by non-Indian racetracks and card clubs, failed by an even larger margin. A whopping 83 percent rejected a bid to allow slot machines at these facilities. The Prop. 70 campaign cost more than $105 million, the most in state history. Most tribes backed the initiative as an alternative to compacts Gov. Arnold Schwarzenegger (R) signed with a handful of tribes. Schwarzenegger fought against Prop. 70 and Prop. 68. He says his compacts, which allow more than 2,000 slot machines and a share of slot revenues, are better for the state. Get the Story: